Search
 

Perfectly Modeled

Find out how catastrophe modeling has come of age during these tumultuous times and how you can use sophisticated new tools to help your customers manage property exposures in an increasingly risky world.

By David Pagoumian | Updated on August 05, 2010
As the 2010 Atlantic hurricane season moves into high gear, concern about catastrophe risk looms large in a year that has already featured an unusual level of activity, including a massive earthquake in Chile, a powerful winter windstorm in Europe, and an oil spill in the Gulf of Mexico.

Munich Re estimates insured losses for global catastrophes at $23 billion for the first six months of 2010, the highest for that time period since 1994, according to the Insurance Information Institute. That far exceeds the 10-year average of $11 billion. In the U.S., catastrophe losses have more than doubled over the last decade to $193 billion, up 117 percent from the $89 billion from the 1990s, according to the III. If this trend continues, the next decade is likely to be even more disastrous than this one, with III predicting a year with $100 billion in insured catastrophe losses certain to come in the future. The rise in U.S. catastrophe losses is driven in part by dramatic increases in development in places vulnerable to hurricanes, earthquakes and wildfires.

Related: Read “2010 hurricane season: Keeping the promise.”

In this volatile environment, catastrophe models play an important role for insurers and for agents and brokers seeking to help property owners manage their catastrophe risk.

Want to continue reading?
Become a Free
PropertyCasualty360 Digital Reader.

INCLUDED IN A DIGITAL MEMBERSHIP:

  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.

Already have an account?

NOT FOR REPRINT

© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Dig Deeper

Recommended Stories

PropertyCasualty360

Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join PropertyCasualty360.com now!

  • Unlimited access to PropertyCasualty360.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including BenefitsPRO.com, ThinkAdvisor.com and Law.com
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2025 ALM Global, LLC. All Rights Reserved.